Scottish finance firms 'optimistic' on jobs

Nearly 80% of firms described their confidence for 2011 as "optimistic" or "very optimistic"

More than a quarter of financial services firms in Scotland believe 600 new jobs will be needed to cope with a revival in the banking sector, a survey has suggested.

However, 85% of firms questioned in Joslin Rowe Scotland's annual labour market survey said they were now struggling to recruit the right staff.

And 39% said staffing levels were too lean for a significant upturn in 2011.

A total of 80 financial institutions contributed to the research.

The survey by the financial services recruitment specialist was supported by Scottish Enterprise.

Most firms (79%) described their company's level of business confidence for 2011 as "optimistic" or "very optimistic", although 21% had neutral feelings about the future.

No organisations signalled pessimism for the year ahead, compared with 19% in pre-recession times.

The survey also suggested the average salary rise in Scotland's financial services industry could be 1%-2% in 2011.

'Real challenges'

Meanwhile, bonus payments dropped in 2010, with directors receiving 10%-20%, compared with 20%-30% previously.

Jill Farrell, from Scottish Enterprise, said: "The financial services sector is a fundamental part of our economy and its success is of key importance to Scotland's long-term future.

"Given the recent difficulties faced by the industry, it is very encouraging to see increased levels of optimism from those surveyed."

He added: "However, there are still real challenges to be faced.

"With almost a quarter of respondents still looking to reduce their workforce, and 85% reporting recruitment difficulties, it has never been more important for the industry and stakeholders to work together to maintain and grow the pool of available talent."